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But they’ll shift back when goods they want — like cars — become available.
Big stores like Walmart and Target didn’t foresee consumers pivoting away from shopping and toward going out.
For monetary officials, the personal consumption expenditures gauge beats the CPI. A trip to the grocery store helps explain why.
The consumer economy, in particular.
People who spend a bigger chunk of their budget on gas and groceries are disproportionately impacted by rising prices.
We spoke to Michael Hewson, chief market analyst at CMC Markets, for some insight.
But that’s not stopping many consumers from getting out to restaurants or shopping malls.
Wage growth, low unemployment and pent-up demand when COVID case counts decline may help explain the disconnect.
The services sector has been feeling the pinch of higher costs, particularly when it comes to wages.
The monthly gauge rose 3.8%, showing that Americans are eager to shop despite inflation. It could further push the Fed to hike rates.
